ADB considers issuing bonds

ADB considers issuing bonds

MANILA (AP): The Asian Development Bank said Wednesday its board has approved raising US$3.4 billion in the international capital market for financing requirements this year - and part might be raised in Asia's emerging markets.

ADB Assistant Treasurer Peter Balon said the bank's borrowing requirement will probably rise sharply to between $7.5 billion and $8 billion next year. This would finance maturing debt which the bank raised during the international rescue of several Asian economies battered by the 1997-98 financial crisis.

Balon told Dow Jones Newswires that a U.S. global bond and structured private placements would take up the bulk of the funding requirement for this year.

Structured private placements will raise the equivalent of $1 billion to $1.5 billion through U.S. dollar, yen and euro issues.

Balon said the ADB has been working in the past 18 months to try and issue bonds in some Asian economies, including the Philippines, Thailand, India, China, Malaysia and Singapore.